Mid-sized IT services company Hexaware Technologies posted on Friday a 10 per cent increase in its consolidated net profit at Rs 97.90 crore for the quarter ended June 30, 2013, helped by growth in the financial services segment.
Mid-sized IT services company Hexaware Technologies posted on Friday a 10 per cent increase in its consolidated net profit at Rs 97.90 crore for the quarter ended June 30, 2013, helped by growth in the financial services segment.
The company had reported a net profit of Rs 89.03 crore in the same quarter last year.
The Mumbai-based firm said it expects revenues in the July-September quarter to be in the range of $98.1-100 million, a quarter-on-quarter growth of 3.5-5.5 per cent.
Hexaware's consolidated income rose by 7.3 per cent to Rs 536.60 crore in the April-June quarter, as against Rs 500.1 crore in Q2, 2012 meeting its revenue guidance.
The company follows January-December financial year cycle.
"We had a fairly solid quarter. Not only in terms of the results of the quarter but also in terms of some of the benefits that are spilling over in H2," P R Chandrasekar, CEO and vice chairman of Hexaware, told PTI.
On the Q2 performance, he said, "Our Financial Services vertical clearly has stood out and it has grown faster than the company. In geographies, the US bounced back nicely. Good news is in Europe our deal pipeline looks stable."
There are decent opportunities in Financial Services in Europe, he said, adding that the company is also looking at Germany, where opportunities look interesting in Travel & Transport and other segments.
"Besides, enhanced attention to 'Top 50' client account management has reflected in our current deal pipeline and continued investments for hunting new logos resulted in yet another strong showing with 14 new client addition," he added.
Banking and Capital Markets led the revenue break-up in terms of verticals in the second quarter followed by Emerging Segments, Travel & Transportation and Healthcare & Insurance.
In terms of geographies, America was the top revenue earner in April-June followed by Europe and Asia Pacific.
On Q3 revenue guidance of 3.5-5.5 per cent growth, Mr Chandrasekar said, "This would be helped by the US and Europe. We expect our number one client to do well as well as few in our top 10. In verticals, growth would be led by Financial Services and Emerging Segment, which includes manufacturing, telecom, etc."
The company added 14 new clients in Q2, taking its total active clients to 219 as of June 2013.
Its cash and cash equivalents as of June 2013 increased to Rs 587 crore, from Rs 566 crore at the end of March 2013.
On hiring, Mr Chandrasekar said, "We hired 100 fresh graduate engineers engineers during the last quarter and would hire 75-100 more freshers this quarter. There will be lateral hiring as and when required."
Total headcount of the company stood at 8,700 as of June 2013.
Hexaware stock, on Friday, ended at Rs 106.70 on the BSE, up 1.19 per cent from the previous close.
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